Poor returns to cultivation and absence of non-farm opportunities are indicative of the larger socio-economic malaise in rural India. This is accentuated by the multiple risks that the farmer faces – yield, price, input, technology and credit among others. The increasing incidence of farmers’ suicides is symptomatic of a larger crisis, which is much more widespread. Risk mitigation strategies should go beyond credit. Long term strategies requires more stable income from agriculture, and more importantly, from non-farm sources. Private credit and input markets need to be regulated. A challenge for the technological and financial gurus is to provide innovative products that reduce costs while increasing returns. The institutional vacuum of organising farmers needs to be addressed through a federation of self-help groups (SHGs) or alternative structures.
- Credit burden,
- Crop loss/yield uncertainty,
- Market vulnerabilities (price shocks and increasing input costs),
- Returns to cultivation,
- Suicide Mortality Rate (SMR)